Seeking Alpha
All posts from Seeking Alpha
Seeking Alpha in Seeking Alpha - Read, Decide, Invest.,

McDonald's Investors Can Learn One Thing From Shake Shack's IPO

Last week McDonald's (NYSE:MCD) announced that current CEO Don Thompson is retiring, and that Brand Officer Steve Easterbrook will be taking over. Immediately, the biggest questions were what Easterbrook can do to reverse the 4% slide in comp sales that McDonald's experienced in 2014, and force millennials into its stores. With a deep and long history that's built well over 35,000 stores globally and created over $27 billion in revenue during the last year, it's going to be very tough for McDonald's to find growth. Essentially, McDonald's is a mature business and brand, one that can be grown via menu innovation, but at this point, any attempts at change have likely been tried, and run the risk of diminishing McDonald's identity further. That said, there is only one viable solution for McDonald's to create both growth and to boost shareholder sentiment, and that solution was evident last Friday during Shake Shack's (NYSE:SHAK)…